Toys ‘R’ Us, Inc. will close 75 stores and cut 3,000 jobs this spring in an effort to rebound from sales declines.
The 680-store chain will shutter under-performing stores nationally and convert another 12 stores to its Babies ‘R’ Us format. Toys ‘R’ Us also has 570 stores outside the U.S.
The job cuts account for about 11% of Toys ‘R’ Us’ staff, according to news reports.
The group of investors that bought Wayne, NJ-based Toys ‘R’ Us in July watched holiday sales to decide which stores to close. The group anticipated it would close some stores after the 2005 holiday season when it closed the $6.6 billion acquisition last summer.
Toys ‘R’ Us’s third-quarter sales fell 2.6% to $2.16 billion, but same-store sales fell nearly 9%. Sales for the 39 weeks ended Oct. 29 were $6.39 billion, up 1.5%.
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